Differentiating Between Market Structures
Today’s firms operate within various environments that economists refer to as market structures. These market structures forge each firm’s operational foundation, which essentially lays the groundwork to facilitate competitive marketing strategies. The factors that bolster a firm’s marketing tactics are vital is sustaining profitability as well as solidifying longevity within a particular industry. To comprehend these factors effectively, this paper will analyze Kudler Fine Foods through the eyes of a consultant and (a) evaluate Kudler’s strategic plan, (b) identify the Kudler’s market structure, and (c) assess how the market …show more content…
Kudler’s Strategic Plan Kudler Fine Foods currently possess a competitive edge in the specialty or gourmet foods market as a result of their prime location and customer base; however, there is much room for improvement to sustain its operational capacity. Kudler’s strategic plan vividly highlights key areas for improvement as well as potential risks that could hinder long- and short-term strategic objectives. In each of Kudler’s three locations, potential competitors exist that could easily hi-jack their customer base in the long-run if changes are not made to address some weaknesses.
Strengths and Weaknesses
Although the strategic plan highlights known weaknesses, it also illustrates strengths that equally benefit the establishment. In particular, no direct competition gives Kudler the capability to increase revenue and pursue expansion opportunities (strength). Currently, Kudler is optimally competing in the market, which is primarily because …show more content…
The survey did not identify any significant change between the two years; however, the areas of concern remain consistent throughout both survey periods. The 2007 Sales Plan introduces some ideas that will be paramount in addressing the highlighted weak areas captured through the surveys. For example, the frequent shopper program will present incentives that will minimize price and increase customer satisfaction. Additionally, the “Increase behind the Scenes Efficiency” and “Cost Containment” initiative will reduce operational costs and minimize the amount of food requiring storage, while also having a zero stock out policy. These initiatives alone will be essential in increasing merchandise selection and providing a good value to the